Herefordshire's economy

Detailed information about Herefordshire's economy, labour market, household finances and poverty be found in the Economy and Cost-of-Living Compendium (see related documents).  

The structure and size of the local economy is heavily influenced by the county's relative rurality.  A higher than average number of jobs and businesses are in the agriculture and manufacturing sectors, whilst the service sector in under-represented.  Parts of the county remain relatively remote from the motorway and rail network and historically broadband connectivity has been an issue - both acting as a barrier to economic growth.

Herefordshire also has a lower than average proportion of the workforce possessing higher-level qualifications and average wages are lower than the national and regional average.  Rates of self-employment are higher than regionally and nationally.   

Gross Domestic Product (GDP) per head of population - a measure of relative economic prosperity, is significantly lower than nationally and regionally and Gross Value Added (GVA) per hours worked, which is used to measure labour productivity, is amongst the lowest of comparable areas of Great Britain.  During the COVID-19 pandemic, Herefordshire's economy shrank to its smallest size since 2013 and has yet to fully recover.

Evidence suggests that the recent cost-of-living crisis beginning early in 2022 widened existing inequalities and increased financial insecurity.